Fri, Mar 06, 2026
At Just 25.4% Completion, India’s Ambitious Smart Meter Installation Drive Falters
As per National Smart Grid Mission data, only 5.83 crore smart meters have been installed across states, out of 22.98 crore approved target, as part of the Revamped Distribution Sector Scheme (RDSS)
Mar 05, 2026 · 2 min read
India's four-year-old Revamped Distribution Sector Scheme (RDSS), aimed at improving efficiencies of power distribution companies, has failed to achieve its intended targets. Across the country, only 5.83 crore smart meters — about 25.4% of the approved target — have been deployed so far, as per National Smart Grid Mission data. Why? Strong resistance from electricity consumers in several states.
Under the scheme, states and union territories received financial assistance to improve the operational efficiency and financial sustainability of power distribution utilities. One of the scheme’s key interventions is the deployment of smart metering for consumers, distribution transformers (DTs), and feeders.
Revamped Distribution Sector Scheme
Under RDSS, smart metering works were approved for 45 distribution utilities, covering 22.42 crore consumers, 53.19 lakh distribution transformers, and 2.06 lakh feeders, translating into a total target of 22.98 crore smart meters.
The government has consistently maintained that prepaid smart metering offers multiple benefits to both DISCOMs and consumers.
For utilities, the system enables advanced revenue collection, reduces outstanding dues, lowers working capital requirements, and results in interest cost savings.
Real-Time Electricity Consumption Data
A senior official from the Gujarat Energy Department told The Secretariat that consumers can access real-time electricity consumption data through mobile applications, allowing them to plan and manage their household budgets more effectively.
These applications also provide recharge facilities, low-balance SMS alerts, and graphical tools to promote energy-efficient consumption. To address growing concerns around cyber risks in the power sector, the government has also established CSIRT-Power (Computer Security Incident Response Team-Power) to help utilities manage cyber incidents and strengthen cybersecurity preparedness.
In Gujarat, for instance, the smart metering rollout faced significant opposition from consumers following complaints of higher electricity bills, which slowed implementation. As a result, the state failed to meet its deadline of December 2025. Despite the Gujarat Urja Vikas Nigam Ltd (GUVNL) announcing a 2% rebate scheme on smart meters two years ago, progress remains limited.
Yet, against an approved target of 1.65 crore meters, only 38.79 lakh smart meters have been installed so far. Since the scheme is not mandatory, consumer response has remained low.
It may be noted that the Gujarat government has approved an action plan worth ₹20,482 crore for implementing RDSS-related works in the state.
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